When discussing the platform….this always comes up Etoro Openbook The Social Investment Network…Hopefully you will choose something up along the way so what are copy portfolios so basically they are a basket of traders or assets selected by based on a chosen style kind of like a small etf in some aspects copy portfolios are excellent for diversity and are developed to decrease long-term danger and benefit from current market opportunities each copy portfolio is periodically rebalanced in order to get the most out of the thematic trading technique upon which it is based typically they are viewed as a medium to long-term investment vehicle but you can stop your investment at any point at the present market rates as long as the marketplaces are open copy portfolios are terrific for novices who desire a hands-off method and if you look at’s site they really declare that they intend to offer up to double-digit annual returns while reducing the threat connected with the financial investment now bear in mind past performance isn’t a sign of future outcomes however that is what they intend to do so copy portfolios are type of like an etf
A managed portfolio without the charges although real expertly handled funds are likely to be changed daily or on much shorter periods whereas these are re-balanced at longer periods so what is rebalancing essentially with time the worth of private properties in a varied portfolio go up and down where they drift away from their target weights for example over the long term stocks usually rise quicker than etfs so the stock portion of your portfolio will increase relative to the etf part the rebalancing system closes and opens positions occasionally to keep the property allotment ratio and maintain the copy portfolio strategy different copy portfolios rebalance at different times to others so generally you need to look at each one separately to learn the rebalancing duration as soon as you invest in a copy portfolio your capital is professionally managed by’s investment committee each copy portfolio’s performance is examined in depth and rebalanced immediately regularly to optimize its gain potential so firstly there are three types now like i said i’m not going to examine each one however perhaps i’ll do that in another video so let me understand if this is something you want to see in the comments if you see here we have market copy portfolios top trader copy portfolios and partner copy portfolios so market copy portfolios buy a combination of cfd stocks commodities or etfs according
Is it trustworthy?
to a pre-determined market strategy or focusing on a specific market sector as it states here they are built around a concept efficiency metric or an algorithm that picks its leading carrying out properties and then next we have actually got the top trader copy portfolios leading traders invest in a group of traders these compromise the very best carrying out traders on according to a predefined technique the traders within are picked by’s investment committee and algorithmically looking for particular trading attributes that are enhanced for profit then lastly we have actually got a partner copy portfolios these are portfolios created by 3rd parties that conduct thorough market analysis and has partnered with and again have a style so let’s discuss a few of the benefits and drawbacks of copying people versus copying portfolios so i’m not going to explain what copyrighting is however if you would like to know more about that then go check out my video which i’ll position a link to up here and in the description below to start with i would say the primary pros of copy portfolios are that they are good for beginners who want a more hands-off approach in regards to the marketplace copy portfolios i would say they are fantastic if you want exposure to a particular market where you think the market will succeed as a whole for example you may want direct exposure to great deals of renewable energy business or driverless cars business due to the fact that as a novice you may not know much about specific stocks to select it will likewise conserve you time as researching great deals of individual stocks can be extremely time taking in so letting do this on your behalf is fantastic this is also real for the other two copy portfolio
Can you earn money on the trading platform?
types for instance as a newbie you may not know what constitutes a good trader to copy if you would like to know how i personally discover individuals to copy on then go have a look at my video which i’ll put a link to up here and in the description below selecting a trader based copy portfolio can offer you exposure to lots of traders that are picked by algorithmically this is great for diversity if you’re brand-new to i personally would not invest all my cash in one trader and would try to spread it out over a number of them in case among them doesn’t do well and on the odd event this does happen i discovered this through copying a trader when starting so i was copying this person and at the start he was doing well then he just began to believe the market would crash so he began shorting lots of stocks and it never ever did and it just kept increasing and after that he still kept saying that the market was going to crash and it never ever did so i lost quite a bit of cash so this is also a warning that your capital Etoro Openbook The Social Investment Network
Why is eToro considered to be bad?
Certainly at risk ultimately i had to cut my losses with this trader and i think i wound up losing over a thousand dollars in the end which i was not delighted about however i looked at that trader further down the line and he continued to lose more cash so cutting my losses at that point i did was better than where i would have been six months even more down the line so while previous performance is not prosecuted for future outcomes i have made a few of my biggest revenues in copy portfolios for example i’ve been invested in the in the video game copy portfolio given that the 3rd of july 2017 and today’s date is the 25th of april 2021 so in just under four years i have made an outrageous 210 revenue likewise last year i bought the huge tech copy portfolio in january 2020 and now 16 months later this has actually made a massive 47.08 earnings which is in just over a year so if you compare that to a bank where you’ll be lucky to get one percent in a year today that’s that’s some insane growth i’m getting here on but like i stated past efficiency is not a sign of future outcomes so undoubtedly there are some small negatives to copy portfolios to start with it is not possible to eliminate a part of the investment it’s also not possible to close specific positions within a copy portfolio
Is eToro truly totally free as they say?
This is my virtual account here so say for example you didn’t like a specific company or individual that the copy portfolio had invested in or state for example you desired to close one position to take profits you would need to close the financial investment completely so that’s something to bear in mind if you’re the kind of individual who creams the top of the earnings off of a financial investment so then potentially you should invest directly into stocks or traders that you would desire to copy rather than in a copy portfolio also while some of the copy portfolios have an entry point that begins at 1 000 us dollars the entry level on some of these is rather high all the trader based copy portfolios require at least five thousand us dollars and five thousand us dollars might be a lot so your alternative is to potentially look at some of the traders in these coffee portfolios or look at the stocks in a copy portfolio and then invest in them by hand yourself
certainly if you did this you would not get any rebalancing as you would on a copy portfolio now potentially another unfavorable of copy portfolios and i couldn’t discover this out for guaranteed however my understanding is that on market copy portfolios there isn’t any stop losses on private positions if someone from etora sees this video and would like to validate this with me then please feel free to get in contact and after that i’ll put it as the pin remark listed below now this doesn’t indicate you can’t personally set a stop loss on the copy portfolio yourself but say for example if you’re copying a market copy portfolio it wouldn’t close and respond out a position if there was a crash in the market whereas a real person could respond to the marketplace and close out positions and possibly redeem in at a lower entry point this might deserve considering when selecting a market copy portfolio so to purchase copy portfolios
Why do you need 25k to day trade?
you would first of all go to the following link on the left here that says buy copy portfolios this is my virtual account as i stated prior to service and then from here you’ve got the 3 types of copy portfolios that we were speaking about in the past and if you drill into these you can see all of the copy portfolios they have on offer and there’s loads of various ones in here with lots of different themes so it’s worth having a browse so state let’s just click on this crypto copy portfolio here that with its absolute outrageous results of 935 spot for two in the last 12 months that seethes so it’s a really comparable layout to a regular asset on with the feed upon the first page the description on the right here will normally outline what the copy portfolio’s methodology is and the minimum investment quantity this ought to likewise describe how frequently it rebalances so as you can see for this crypto copy portfolio here the minimum investment quantity is 1 000 us dollars so as i have actually simply observed here the description on the first page does not constantly match the description on the second page so to learn the rebalancing if you go on here i’ve just found that by searching for rebalancing you can see that this cryptocopy portfolio will be rebalanced yearly or by the investment committee discretion consisting of brand-new listings or de-listing based upon the terms pointed out above and the minimum financial investment
quantity is 1000 us dollars so as you can see here on the right-hand man side we’ve got the possession allocation now you truly need to keep in mind of this as i discovered this the hard way and by this i may learn this in 2 methods so i actually invested in among these crypto copy portfolios a long time ago when i was starting on and i didn’t examine the weightings and i presume they were all equal yes i understand i was a huge noob and a novice well one of these cryptos was more greatly weighted than the others and that one tanked whereas the others didn’t it then hit the stop loss and squandered my position and then as cryptos do it recovered up uh since they are so unstable so not just did i lose a great deal of cash and i wasn’t able to buy back ins because the cost had bounced up however i likewise can’t bear to think more that would deserve now today it’s simply uh i missed i lost out on that one but it’s lesson to discover and in some cases the best lessons in trading are unfortunately found out the hard way you will not forget them when you make a terrible error like that so proceeding from that if we scroll even more down we have the historical statistics of the copy portfolio if it’s a newish copy portfolio then you’ll discover there’s some stars beside the numbers
and this indicates as it states here the stars are based on back tested results then you’ve got a typical risk score here on the left hand side and also you can see the variety of investors in this copy portfolio and then down at the bottom we have actually got some great charts for net exposure and allowance then if you click the portfolio here you can see the current holdings in the portfolio and you’ve got some great graphs here which just show the various allocation however if you really wish to see the real holdings you can see the existing holdings in there in the portfolio and their current earnings and loss here um and if you change this bit here you can see the historic trades this copy portfolio has actually liquidated of so if we set that to possibly one year you can see the historic trades this copy portfolio has actually closed out of then on the last tab we have a chart showing the efficiency of this copy portfolio gradually so to purchase this you simply click the huge button on the top right that states invest and after that you can set a quantity here that you wish to put in then you can set a stop loss below and i’m just going to leave that at 400 this is my virtual account feel in one’s bones there is a minimum and a maximum on the stop loss here so if i press the invest here and now it started buying copy portfolio now this copy portfolio did open quickly due to the fact that it’s a crypto portfolio and the marketplaces are open 24 7. now i’m taping this video on a sunday Etoro Openbook The Social Investment Network
If you were to actually invest in a copy portfolio that invested in stocks then it would not actually open those positions up until the markets open on monday so as you can see here this is the crypto portfolio on my virtual account and if you click the cog up here you can increment the investment you can pause the financial investment you can adjust the stop loss or you can close the financial investment now if you desire to increase the investment one thing i have actually observed when looking at a lot of these is that the minimum quantity you can include to a copy portfolio once it is open is a thousand dollars now i do not know if that’s the same for all of them but i looked at a handful and they did all seem to state it was a thousand that you might add minimum so that’s something absolutely to bear in mind when opening your copy portfolio position so i hope this video has actually been useful to you if you are considering investing in a copy portfolio then please do your own due diligence first if you’ve got any questions on this video then please let me know in the remarks let us understand if you invest in copy portfolios and if so which ones or
which ones do you believe could be a great investment i ‘d love to understand and i read all your remarks if you found this video practical in any way then i ‘d truly appreciate an early thumbs up as it truly assists support the channel also for those of you thinking about registering to and haven’t already then there’s an an affiliate link listed below where if you do register using it then i will get a kickback and it doesn’t cost you anything additional however it truly assists support this channel so why not give a go before depositing any genuine money as they will offer you a demonstration account with a hundred thousand dollars of virtual money where you can experience all of the features like copy trading without losing any genuine cash also if you want to discover more about how works or more about personal financing and investing then i have numerous videos on my channel so i advise you check them out so please push the bell and subscribe icon so you do not miss out on any future updates it’s been ollie from get geek finance thank you for seeing and i’ll catch you in the next one Etoro Openbook The Social Investment Network